PRINT THIS PAGE A regulatory remedy for European broadband
07/03/2002. Source:McKinsey Quarterly. Scott Beardsley and Luis Enriquez
To make it possible for companies to finance the infrastructure improvements broadband requires, lawmakers and regulators must allow local telephone and cable television services to be priced more flexibly, says McKinsey Quarterly. Broadband access to the Internet is spreading more slowly than expected in Europe: though pockets of high growth exist, most telecom incumbents and attackers have delayed or cancelled their broadband-deployment plans. Faulty business models are responsible for part of the problem, but policy makers and regulators must accept some of the blame. Regulations that have focused too much on low prices have dampened competition and hindered the rapid deployment of the technology.
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Taken from The McKinsey Quarterly, 2002 Number 1 The McKinsey Quarterly, a journal in print and online from McKinsey & Company, featuring the latest thinking on business strategy, finance and management.
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